Legislation
SECTION 2338
Appeal from rate service organization action
Insurance (ISC) CHAPTER 28, ARTICLE 23
§ 2338. Appeal from rate service organization action. (a) This section
shall apply only to kinds of insurance the rates for which are subject
to prior approval pursuant to subsection (b) of section two thousand
three hundred five of this article.
(b) Any member of or subscriber to a rate service organization may
appeal to the superintendent from the action or decision of the rate
service organization in approving or rejecting any proposed change in or
addition to its filings. The superintendent, within thirty days after
the filing of such appeal, shall hold a hearing upon not less than ten
days' written notice to the appellant and to the rate service
organization. After the hearing the superintendent shall issue an order
approving the action or decision of the rate service organization or
directing it to give further consideration to such proposal, or, if such
appeal is from the action or decision of the rate service organization
in rejecting a proposed addition to its filings, he may, in the event he
finds that such action or decision was unreasonable, issue an order
directing the rate service organization to make an addition to its
filings, on behalf of its members and subscribers, in a manner
consistent with his findings, within a reasonable time after the
issuance of such order.
(c) If the appeal is based upon the failure of the rate service
organization to make a filing on behalf of such member or subscriber
which is based on a system of expense provisions which differs, in
accordance with the right granted in subsection (d) of section two
thousand three hundred four of this article, from the system of expense
provisions included in a filing made by the rate service organization,
the superintendent shall, if he grants the appeal, order the rate
service organization to make the requested filing for use by the
appellant. In deciding the appeal the superintendent shall apply the
standards set forth in section two thousand three hundred three of this
article.
shall apply only to kinds of insurance the rates for which are subject
to prior approval pursuant to subsection (b) of section two thousand
three hundred five of this article.
(b) Any member of or subscriber to a rate service organization may
appeal to the superintendent from the action or decision of the rate
service organization in approving or rejecting any proposed change in or
addition to its filings. The superintendent, within thirty days after
the filing of such appeal, shall hold a hearing upon not less than ten
days' written notice to the appellant and to the rate service
organization. After the hearing the superintendent shall issue an order
approving the action or decision of the rate service organization or
directing it to give further consideration to such proposal, or, if such
appeal is from the action or decision of the rate service organization
in rejecting a proposed addition to its filings, he may, in the event he
finds that such action or decision was unreasonable, issue an order
directing the rate service organization to make an addition to its
filings, on behalf of its members and subscribers, in a manner
consistent with his findings, within a reasonable time after the
issuance of such order.
(c) If the appeal is based upon the failure of the rate service
organization to make a filing on behalf of such member or subscriber
which is based on a system of expense provisions which differs, in
accordance with the right granted in subsection (d) of section two
thousand three hundred four of this article, from the system of expense
provisions included in a filing made by the rate service organization,
the superintendent shall, if he grants the appeal, order the rate
service organization to make the requested filing for use by the
appellant. In deciding the appeal the superintendent shall apply the
standards set forth in section two thousand three hundred three of this
article.